tv Worldwide Exchange CNBC December 24, 2012 5:00am-6:00am EST
the president showed an olive branch in his talk so you leave thinking maybe there's a plan c and maybe something that can kick the can and show that not everything is dysfunctional and that's one of the main reasons why we did not sell off. we keep believing that can happen. i tell you what, i'm not going to dismiss that. i also want to leave open the possibility that we fall off the cliff and we go into a trampoline or a deep pool and then we come back and that is still more likely despite the peace overture i thought i heard the president make tonight. "mad money." i'm jim cramer. i'll see you monday! good morning and welcome to "worldwide exchange." i'm karen cho. >> good morning, everybody. i'm louisa bojesen. these are your headlines from around the world. >> with just one week to go
before the u.s. economy goes over the fiscal cliff, lawmakers are pointing fingers and playing the blame game. >> mario monti is saying he's available to lead italy. he'll run for office in the upcoming election, but only for a party willing to push his agenda. but he has competition in the form of sylvia berlusconi. he tells cnbc he feels a responsibility to run. >> feel the need to return to the political arena to prevent the country from being delivered into the hands of a leftist party. >> and the crowds are out, the stores are ringing up those sales, but u.s. shoppers may be running low on holiday spirit. and analysts say that they're spending less, as well. hi, everybody.
welcome. merry christmas out there. thank you for joining us here on the show. what we're looking at today, we've got slightly quiet markets ahead of the u.s. open. what we're seeing, though, that all the markets are being called lower across the board stateside. the dow is being called a bit lower, nasdaq is being called a bit lower and the s&p 500 being called down by a bybit, as well. we saw markets coming off on friday stateside. pretty significant drops, as well, given that we now seem to be a clashing of heads between the republicans and the democrats in regards to moving forward on the fiscal cliff issue. it does seems as though they're running into logger heads here slowly before the last couple of days before the deadline to solve the fiscal cliff negotiations. the ftse 100, a couple of points higher at the moment. same going for the spanish market, the aex in the corner. we're looking at relatively flattish trade here in europe on
christmas eve. let's recap off of what we've seen in asia in the overnight session here. you're looking at slight gains across the board. the shanghai composite up by .25%. you're seeing similar gains in the s&p asx and the hang seng, the kospi both a couple of points up to the upside, as well. currency markets, pretty stable trade, too. we're seeing slightly lower volumes to say the least as you would anticipate here during the holiday days. we are, though, flirt, a recent high is 1.32. a couple of sessions ago, we were down at the 1.29 mark. aussie/dollar flat. sterling seeing slight gains. just to wrap things up showing you what's taking place in fixed income, relatively flattish trade, as well. the yield here on the spanish yield, 5.3%. the uk seeing yeldz slightly higher, as well. but, of course, it is christmas.
it is the holiday season that we're up against. so you would anticipate that maybe some investor res closing out recent profits. sitting tight and waiting for that next year to start, karen. >> thanks very much, louisa. we are indeed in a festive mood. let me echo a very merry christmas to the viewers out there. on the agenda in the united states, there's no economic earnings start to go speak of this christmas eve. the markets will be closing early with the nyse and nasdaq depending at 1:00 p.m. eastern, the cme at 1:15 and the nymex at 1:30. the cme will close up shop at 1:45 eastern. u.s. investors get the monthly case-shiller home price index on thursday wednesday. thursday, it's jobless claims, new home sales and consumer confidence. friday, we round out on the week with the chicago pmi pending home sales. interesting to see the level of volume that we had in u.s. markets on friday. it was 4.8 billion shares
traded. the fourth lightest day so far in the nyse. markets got complacent, got a little excited about getting a fiscal cliff resolution and we just haven't seen one. >> and deciding then at the last minute i don't want to sit in my positions if we aren't seeing any type of agreement between bainer and obama. by the looks of things, we might not be. but it's christmas. >> i know it is christmas. >> are you doing anything special? >> i'm actually prep ago turkey later today. i've got the rochini mushroom basting. >> i'll be over at your place in about three or four hours. >> it might take me a little longer than that. >> you never know. in denmark, it's our christmas eve tonight. >> so tell me, are you cooking today? >> i'm not. we're going to be with friends. we're going to have a fantastic dinner tonight. i was with the family over the
weekend. loads of snow. almost got snowed in in denmark last night. >> a white christmas. >> super white christmas. gnomes are everywhere. the little guys out under the trees. the deadline to avoid the fiscal cliff is just a week ago. on fri, president obama said he still hoped to work out a deal to keep taxes for 98% of americans from going up on the first of january. but both sides aren't talking and congress is in recess until after christmas. republicans aren't holding out any hope for a deal. >> i would hope that we would have one last attempt here to do what everyone knows needs to be done, which is a larger plan that really does stabilize the debt and get us moving in the right direction. >> if we get down to the end of this year and the oil only
choice we have is to save taxes going up on the middle class, then i would support that. but i wish we had a comprehensive bill that dealt with spending and entitlement altogether. >> i believe the president senses a victory at the bottom of the cliff. >> some finger pointing. other republicans are now looking past new year's day to the next battleground. >> i will raise the debt ceiling only if we save medicare and social security and prevent this country from becoming greece. no more borrowing without addressing why we're in debt to begin with. that's where the real chance for change occurs, at the debt ceiling debate. >> we're joined now by ralph sill voe. it's christmas eve. do you have some plans to do? >> it's an austerity christmas, actually. just a couple friends getting together and a couple of friends getting together and having a nice meal.
>> it is not an austerity christmas. >> it actually is. we haven't had the greatest year. everything we hoped would happen. we thought this economy was going to turn around at the summer period. >> ralph, if you take a look at the stock market concerns, the dax is up 20%. >> there will be plenty of alcohol to forget. >> do you think we're going to manage to see some type of a resolution on the fiscal cliff? we're seeing a lot of finger pointing now and hearing from both sides saying it's in the other side's interest to delay these negotiations. >> i've had conversations with people in new york and working on trade floors. what i've been told by them is there is a huge number of meetings going on around closed doors avoiding all cameras. there has to be a solution. both parties would be blamed if they didn't have a solution. so we know there's going to away solution. it's just what solution is it going to be? >> is it fair to say a grand
bargain is off the table? >> or maybe a solution for a few months just to keep it going pap complete collapse is not acceptable. it's not an option. but maybe prolonging this for another three or four months and maybe having longer discussions about it may be the only solution they can come to. >> we're talking about how taxes could potentially go up for 98% of americans. is it going to be an issue of if and when that happens, if they don't reach even a short-term solution, that you really feel it at that point? >> because we have seen alg bit of a recovery in the u.s., up until this point. and people have been feeling more positive. but if you look at the retail numbers and you look at the people going to the shops, something happens. they're not that confident any more. and i think something has -- this fiscal cliff has something to do about it. but people are scared in the u.s. right now. you increase their taxes, increase their savings, i'm not saying it's a bad thing for them, but it's a bad thing for the economy. >> so you're saying this has
caught on now. it was a while before consumers didn't get the fiscal cliff idea. we are getting closer to the worst case scenario and you're saying it's timely caught on with main street. >> we're talking about money. money is is 00% emotional. put those two together and all of a sudden people get protective. as a result, they will begin to save and not spend. we need people to spend money. we need people to buy things .right now, the responsibility thing for the americans to do is not to do that until this gets resolved. >> ralph, you're with us for the full hour. fantastic. find us on twitter if you want to get in touch with karen or myself. up next, we speak to the man who says he can save italy's economy from mistakes which have been made across europe. >> europe has taken a stiffer route. the bureaucrats of europe have adopted a policy of austerity. it is disastrous when applied to economies that were already in trouble.
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economic agenda for the country. sylvia berlusconi tells cnbc he needs to return to the premiership to keep the lead from being turned over to the hands of the left. >> let's talk more about this. mario monti is saying he's willing to stand in italy's upcoming election but only if asked by a reform party that supports his agenda. monti made it clear that he was rejecting an offer from his predecessor to run on the central right election ticket. >> translator: forces who demonstrate convincing and credible adherence to my agenda, i'll be ready to give my appreciation and my encouragement and if requested my leadership. if the circumstances require, i'd also be ready to take up one day the responsibilities that are given to me by parliament the. >> now, monti will officially re-sign from his post on friday. he stressed that italy's next
government must avoid backtracking on reforms. elections are due to return in january. sylvia berlusconi met up with cnbc and began by asking him whether he will be running in the upcoming elections. >> translator: yes. obviously, this wasn't my original intention or a desirable option. i had to surrender to reality. and my sense of responsibility convinced me to run again for a premiership. actually, this need come from the polls. a angelino alfamo is capable, but only my participation would have brought back all the voters who supported us in 2008 which represented almost 40% of the total of italian voters. i had to admit what the data was saying as i did in 2004. i feel the need to return to the political arena to prevent the country from being delivered into the hands of a leftist
party that isn't at all social democratic, but has its roots firmly pointed in the communist orthodox party. >> under market and in europe, there is some concern that your return in politics may bring back italy to the latest borrow of 2011 and to the deep financial crisis. what's your message to the market and for europe? >> first of all, i would like to emphasize that after mario monti left, markets reacted positively. in addition, i would like to remind everyone of something that happened in 2011. at that time, deutsche bank imposed a sell-off of all its italian and greek government bonds, american and international investors questioned the move. some assumed the german bank had some information that nobody else had. it was a huge lie, a cue oup
d'etat. resigning at that point was the responsible thing to do. however, we didn't ask for elections. however, one year later, all economic indicators are lower than they were when we were in government. i hope common opinion will change and that this bubble, based on lies, can finally be eliminated. we are broadly aware of the data, lower gdp, a public debt of over 2 billion euros. and youth unemployment is at 36%. what's wror, residential construction fell 54%. property transfer down 27%. our automotive sector regressed to weight was 24 years ago. we are selling now 1.4 million cars. the nautical industry disappeared. advertising has hurt the media. as we know, advertise sg a
barometer of our economy. the achievement of a technical government, nobody can go against fact bass, as you know, the figures speak for themselves. >> more rain is expected in southwest england raising the risk of renewed floods in areas that have been hit by heavy downpours over the weekend. in scotland, there are 23 flood warnings in place. joining us on the phone is helen shivas. we've seen the flood warnings forecast to suggest we're going to see them across england to wales and scotland. how bad is the situation out there? >> well, we've still got a lot of rain to come through the rest of today. there's still heavy rain coming into southwest england now and heavy showers moving into the west of scotland. all of us across the uk can expect to see rain coming through today. it is moving, as you say, from west to east. things should start to improve in western areas as we go into the afternoon and the evening. and that, then, brings us into a day for tomorrow where we'll see a mixture of sunshine and
showers. so the last of the heaviest rain is beginning to move away from the uk just at the moment. >> helen, hi, it's louisa. we're seeing some pictures as you're speaking of how it's affecting transportation surfaces. have you seeing it affect a large portion of real networks across the uk or is it kind of in certain districts? >> the rail networks have clearly been affected. the rain caused some damage to rail tracks last month down in the southwest. and, of course, with the river so high now, any amount of rain is going to add to difficulties with transport disruption. not only on the rails, but on the roads, as well, because the ground is saturated. because there is nowhere for this new rain that falls to grow. we are not out of the woods when it comes to the unsettled weather. we're going to have a lot more unsettled weather through the rest of this week and into the new year. so we may well find that the
footing affects extend elsewhere across the country and not just in the southwest areas that we've seen so far. >> appreciate the time today. >> this is very difficult for those trying to visit family and so forth. >> and nevertheless, still you have to travel. up next though here on "worldwide exchange" abdomen markets are preparing to bid farewell to 2012, good-bye and ring in 2013, find ott what the experts are predicting for the year ahead. that's coming up in just a couple of moments. stay with us.
welcome back. we are setting up for the last trading day before christmas in the united states. weaker across the board, as you can see. this comes after a weak session on friday. a high volume weak session i would say. the market down there as investors start to price in the deal of not getting a deal struck on the fiscal cliff. sentiment hasn't improved over the weekend. >> no, it hasn't. but time to buy europe, according to the barons magazine. european stocks could rally by as much as 20% next year.
in its cover story this weekend, the investor bible has picked ten stocks that it stays are undervalued, minimum downsize risk and they provide decent dividends, as well. on the list are vw volkswagen, rio tinto, rush and wpp. on the also on the list, we have deutsche plus, vivende, axa and enagas. >> it's tough to know whether to buy the handbag or the stocks from lvmh before the christmas. >> i suspect if there are any husbands out there, they would put a stock of lvmh under the tree, i'm not sure if jewelry would be equal. >> we've been asking the economist toes give us their outlook for 2013. >> do you think the u.s. is going to continue to be strong? if they can solve the fiscal cliff issues, keep economic indicators up.
what they're doing with the jobs is good, asset performance is good. asia, it's going to take a while. until the end of 2013. we'll see good purely activity. that's going 20 depend on investor sentiment and good after performance in stocks. >> in trades weighted terms euro, appreciated even with weaker economy or, you know, stagnated economy because there's not much growth to be expected from all europe. you know, obviously core europe like germany will grow with the global economy here. but at the moment, because of the issues in japan and all the issues in the u.s., europe and particularly euro is the one to send out is the strong demand. this is something that european policies and that european companies will need to work with. >> next year, although the eurozone economy is stag nating, we do expect a recovery in the global economy to which europe corporate sector is very well levered. it's that recover in the global
back drop which allows margins to rise a little bit in eurozone, gives some type line growth and overall profit growth we think of around 9%. >> standing out in 2013, the biggest uncertainty right now has to do with around the housing market in the united states. some people are increasing their belief that you're going to see growth in the housing market from, you know, previous estimates are like 1.5% to % or even 4%. that is the unknown. because as everybody knows, housing has so many secondary and tertiary effects, domino effects, positive effects on the u.s. economy. but if that's the case, if we have stabilized and are going to move higher, that will carry a lot of strength into 2013. >> we're beginning to -- out for what looks like a beginning of the year rally in commodities prices. similar to what we had at the start of this year. particularly with the chinese data start to go improve now, as well. but for me, in base metals, that
would be an opportunity to go short if you started seeing prices go up to $8500 a ton. >> we need to get some views ahead for the year. ralph silva is still with us and e-mail the show, email@example.com, as well. ralph, what do you think is in store for 2013? >> first thing, i believe it is europe you should be putting yoen money in. i think the change you'll see in europe is going to be greater than the change you'll see anywhere else in the world. it's not going to grow enormously fast. this increase in 2013 i think is optimistic, but we will see an increase in europe. but also, to the large organizations. these large organizations, the european organizations, all of them are cash rich. i'm kind of hoping that they start putting some of that money into youth, new products, innovation. if they do that, they're going to do it relatively well. i'm very concerned about the
capitalization in europe. they have absolutely no innovation. they're a little bit of a move. >> there is a bit of a suggestion there. a lot of money managers have been getting returneds. do you think that's possible? >> yes. and we're going to see a lot of m&a activity. who is going to buy the little t.a.r.p.s? it is the large businesses. >> thank you very much. we'll get more thoughts with you in just a moment. ralph silva staying with us. up next, less than a day to go before the big day, we take a look at what some of the top toys have been this year.
good morning. welcome to "worldwide exchange." i'm karen cho. >> good morning, everybody. i'm louisa bojesen. these are your headlines from around the world. >> with just one week to go before the u.s. economy goes over the fiscal cliff, law marriages are pointing fingers and playing the blame game. >> mario monti is saying he's available to lead italy, but only for a party willing to push his economic agenda. >> but he has competition in the form of sylvia berlusconi, italy's former prime minister
tells cnbc he feels a responsibility to run. >> translator: i feel the need to return to the political arena to prevent the country from being delivered into the hands of a leftist party. >> and the crowds are out, the stores are ringing up those sales. but u.s. shoppers, they may be running lower on holiday spirit and analysts are saying that they're spending less, as well. if you're just tuning in, thank you so much for joining us on the show here. a bit of a pre-christmas special for you. these are how the markets are looking at the u.s. open. still looking very negative. we had a high volume session on friday where the markets pulled back about 1% across the board. the markets are still in positive tear over to. but nonetheless, the negative sentiment around the u.s. fiscal
cliff being struck is start to go hit some of the major indices now. european markets have been tracking across the open this morning. the ftse has been holding on to this gain, about .2%. buying pretty much across the board. but the cac is taking what is what of a breather. on friday, it did close at a third of its highest level this year. the run up over the last five weeks in the rd on of about 9.5%. you can see it's coming off some of these peaks before christmas. the spanish market, a little weaker, drifting off about 2 points. louisa. >> u.s. lawmakers are pointing fingers after a lack of progress in talk toes avoid the fiscal cliff with a deadline looming just a week away. on friday, president obama said he still hoped to work out a short-term fix with house speaker john boehner to keep taxes for 98% of americans from going up on the first of january.
but both sides, though, they're not talking and congress is in recess until after christmas. some democrats are still hopeful that a deal can be reached, but the republicans, they're not holding out hope. >> i would hope that we would have one last attempt here to do what everyone knows needs to be done, which is the larger plan that really does stabilize the debt and get us moving in the right direction. >> if we go down to the end of this year and the only choice we have is to save taxes going up on the middle class, then i would support that. but i wish we would have a comprehensive bill that dealt with spending, dealt with entitlements and dealt with taxes altogether. >> i believe the president is eager to go over the fiscal cliff as he senses a victory at the bottom of the cliff. >> republicans are now looking past for new year's day to the battlegrounds. >> i would raise the debt ceiling only if we save medicare and social security and prevent this country from becoming
greece. no more borrowing without addressing why we're in debt to begin with. that's where the real chance for recovery occurs at the debt ceiling debate. still with us, ralph silva. the debt ceiling is now coming up with fiscal cliff talks? >> one comes with the other. if you notice how much airtime all these politicians are getting. eats enormous. it's a matter of getting as much media play as possible. they are politicians. so as a result, we're seeing a little more than that and they're pushing each other and seeing how far they can go. the president doesn't have to get re-elected again. he can push as far as he wants. i think we're going to see some solutions by tend of the year. >> you would think there would be something to carry its way with republicans. but if you look at the divide, they're pushing back. the tea party is alive and well and there are suggestions that boehner may not be able to hold
on to his position. >> that brengs up an interesting point. there's fighting within the parties themselves that we're not privy to. i think your point is well made there, there might be some radical changes in that party. they're infighting and that's why they're not sitting down at the table. but from my sources in the u.s., there are members of each party talking to each other over drinks and things like that. so there is progress. >> i want to come back in what to invest on, and you were indicating that you think we could potentially see more value coming out of europe next year. we keep hearing that it takes a year for the economic data to get into the real economy, right? and this should be reflected in the europe an equity markets you would assume. we're still in contraction. >> yeah. my concern about this is not -- we shouldn't be looking at the market by itself. we should be looking at the market in comparison to the
other markets. i don't think the european market is going to do incredibye well. i think it's going to do better than the other markets. that's the way i think we should look at the investment prospect. but also, you can't look at markets as a whole. you have to do your -- as an investor, you can't be lazy. you have to do your work. you have to look at the particular equity positions. i believe they're going be the large ones that are going to do best. you have to look at the specifics. you have to do your homework. >> you're still staying with us for the rest of the hour. mario monti is saying he's willing to spend in italy's upcoming election, but only if supported bay party who supports his economic agenda. monti made it clear that he was rejecting an offer from sylvia berlusconi to run on a center right ticket. >> i will be ready to give my appreciation and my encouragement and if requested my leadership.
if the circumstances require, i'd also be ready to take up one day the responsibilities given to me by parliament. >> monti, who officially resigned from his post on friday, stressed that italy's next government must avoid backtracking. elections are due to take place in february. cnbc caught up with sill veer ya berlusconi who confirmed he will be running for prime minister in the upcoming elections. he started by asking him if he thought italy should stay in the euro. >> i do strongly support europe. i do not want less europe, i want more europe. with a single economic defense and political framework. unfortunate, europe has taken a different route. the bu accurates of europe have developed a policy of austerity, disastrous when applied to economies that were already in trouble. we have seen what happens in
greece where we are still close to a civil war. naturally, i objected to this policy at the heads of state of government when they were presenting proposals, especially when i have to defend the italian interests. for example, i vetoed and suspended the council heads of state when i was presented with the fiscal impact. this is my position. i could not agree with them when they imposed homework to greece which i was in total disagreement with or when they proposed the token tax which we stupidly adopted. and it is clear that financial transactions will migrate to companies that do not have a total impact. i also disagreed when european banks were ordered to account for the government bonds that they have in their balance sheet at mark to market value and not the nominal value. this has forced italian banks to recapitalize. i do not agree on the fiscal
compact. even though i was the only one at the european council meetings with a business background and not just a political one, i felt i had to speak out expressing my position and consider the position of northern countries and germany. >> now, you promised reform in the past but never completed that. why would anyone believe you should get them done now? >> because i've made 60 reforms. no government can boast of having done so. the reforms that i haven't completed are the judicial, fiscal and political reforms. it is a mess, the use of the money that the publioliticians . these are the things that have rightly taken italians away from this political class and the policy. there are other reforms in our agenda. we will succeed if one can make the country able to compete with
other western democracies. all this will be possible only if we will set the instrument of government that i mentioned before. >> and that was the former italian prime minister sylvia berlusconi speaking to andrea cabrini. with christmas less than a day away, parents everywhere have been facing the daunting task of buying their children presents. i bought presents for a 4-year-old and a 7-year-old boy. i had no clue what i was doing. >> so brave going into a store before christmas to buy children's presents. >> it was fantastic. they're friends' boys, but we made paper planes from like 6:00 a.m. in the morning throughout the day. >> i'm hearing that there's only one gift to buy and that's tablet. >> you're actually right. because the 3-year-old is like this on the tablet and i have no idea how to use one. but there are other toys, my director says, jeff and becky, they took their little ones along to the annual retailers association there to find out just what is hot this year.
the dream toys event is the uk's chance to showcase those products it hopes to make on to every child's wish list and with any luck, under their christmas tree. just as technology gradually consumes more of our wealth, toymakers are increasingly weaving it into a child's play experience, using touch screens, apps and built in technology. >> as technology becomes more prevalent in the home, children are instantly drawn to what parents have. the ipad is becoming a family purchase. >> but luckily, there are simpler openings out there driving the market. >> we have seen a lot of lovely toys today, haven't we, hannah? >> yeah. >> what is your favorite toy that you've seen here?
>> the dollies. >> the dollies? >> parents will notice a lot of old favorites coming back with a money day twist. so is this a reflection of the bearish times we're living in or is it a wishful remembrance of christmas past? >> legos has always been a retrotoy. but yes, during tough times, people come back to tried and true brands and brands they know have great play value. >> wonderful 2013 products that will probably sneak into the market this christmas. it's turtles. and that was another retrovoid coming back. but companies have to be innovated, they have to keep developing in order to be part of the market. >> the uk toy company is the largest in europe with more than a third of annual sales coming in 2011. but what about this year? excuses such as high utility prices amid the retail sector just won't cut it with the kids.
>> should i put some of these on your christmas list? >> yes, please. yes? really? >> what we used to say is that the toy market was completely recession proof. now we're saying it's recession resilient. when it comes to a special occasion like birthday or christmas, consumers are spending more than they did spend last year. >> whether parents respond by going techky or timeless this season, the toy tri hopes that when it comes to spending, the sky really is the limit. [ male announcer ] this december, remember -- you can stay in and like something... or you can get out there and actually like something. the lexus december to remember sales event is on. this is the pursuit of perfection.
good morning. here are your headlines. a resolution still looks far off as u.s. lawmakers continue to point fingers. >> mario monti says he's willing to lead italy, but only if a party backs his economic agenda for the country. >> but sylvia berlusconi says he need to return to the premiership to prevent italy from being delivered into the hands of the left. >> now, why bother going to a shop to buy a guitar in you can have it printed in your living room from a 3-d printer? this may sound unrealistic, but 3d printing has become more and more accessible for the bigger
public. this has become a bigger portion of small businesses. i went to take a closer look. it's been called the catalyst for the next industrial revolution and a game changer for manufacturers. 3d printing, which allows people to download designs from the internet and turn them into physical objects, building them up layer by layer. >> it's the invention of assembly lines. it really is a big deal and it could bring a huge economic benefit. >> the industry is now worth $271 billion, but it's expected to reach $6.5 billion by 2019 according to a consulting firm that tracks the industry. as technology costs have been falling, 3d technology is no longer an expensive technology that is hardly anybody that can get involved this. the typical cost of a 3d printer has fallen from somewhere in the region of $100,000 per machine to $15,000 per machine and that
means a lot more small businesses can get involved. one of the businesses benefiting from this technology is makilab. >> you can choose hair. we've got arched eyebrows. >> it allows customers to turn digital designs into real life dolls through 3d printing. >> in 2010, i was at the new york toy store for the first time. there was digital staff on demand, on the fly, avatars and i thought, can you bring them together using 3d print? >> this is a big deal, especially for diners. if you are somebody who designs, whether it's dolls, clothes, whatever it may be, it's something that allows you to take your product straight to market. in the past, you'd have to find a manufacturer, perhaps find ways to shep it to shop. in these days, get a 3d printer, start making it for people. whether or not 3d printing
becomes a catalyst for the second industry revolution, it's clear the industry needs to be watch closely in 2013. >> very odd having a doll made up of yourself. i think my ears were a slight bit pointier than that. >> it's a bit of a diy christmas. >> exactly. >> now i know what you were doing all last week. coming up, the markets cliff side waiting for politicians to get to a deal. we head out to chicago next.
and a judge sign off sfimted that up to see 600 million could be returned to mf global. >> and investors pulling its money from italy's capital, "the wall street journal" reports advisers are withdrawing all its fund from hedge funds as several employees have been linked to insider trading charges. on friday, former manager masae materna was indicted. and the london stock exchange has agreed to buy a majority stake in clearinghouse lch cleaners. it is lower than an original offer made back in april. >> now, u.s. shoppers, they are out of stores on the weekend before christmas. but many may not have been filled with holiday spirit. research group npd is saying that customer traffic was in line with last year.but consumers, they seem to be spending less. analysts say a combination of factors seem to be weighing on their minds. and the continued after of
courses of hurricane sandy, plus the dampened mood cast over the country by the recent school shootings in connecticut. >> what's on today's agenda for you to follow in the united states? there's no economic earnings starting to speak of on this christmas eve. the markets will be closing early with the nyse closing at 1:00 p.m. even, the cme at 1:15, nymex at 1:30 and the cme global index closes at 1:45 eastern so basically they can go shopping. now, u.s. markets were higher last week despite friday's lack of a deal on the fiscal cliff. the nax das was up by 1.7% and the s&p 500 by 1.2%. that may have been the santa claus rally. we're joined now by ben lichtenste lichtenstein. ben, if we look at futures this morning, looking negative. it doesn't look as though santa is going to visit on christmas eve. >> well, we have seen a significant santa rally.
if you look at the lower levels we were trading at earlier. if you remember, we sold off with conviction to the downside in the s&p as we tested that 1340 level. recently, a strong rally off that level. but, really, unable to get anything convincing to the upside. so for the most part, we're kind of chopped sideways into the end of the year. for the most part, trading is over for the year. the markets found a very comfortable level right around this area that we're trading in right now for the s&p's 1420 if you will. and that's the case in multiple products that we're seeing. if you look at gold right now, that mid range trade off the high, off that 1500 low, smack dawn below 1700. gold has some energy. some of the currencies have been exhibiting energy. for the most part, we have been grinding sideways slightly higher in the stocks. >> so what happens in january? do you think we're going to see any type of switch in terms of people's mind-sets and
willingness to invest? >> well, i think that's a great question at this point. i mean, i think there's outer extreme levels right now that you have to keep your eye on. i think for the most part, it's anyone's guess what will actually happen and the development that will take place. but the markets established this outer extremes right now, which will probably be tested. i mean, again, whether it's because of confidence and some sort of optimism or reassurance in the market and we'll test an upper level or concern and, you know, risk and fear associated with the market. right now what we've been seeing coming into the end of the year is a an increase in volatility and that fear could cause the volatility index. surprisingly, i was thinking about it this morning coming in, surprisingly, that wasn't what we were seeing in the sell-off after the elections. the volatility was shockingly low during that period. and so possibility right now, the volatility index is getting
a little bit ahead of the other major markets and the signal, again, that there's concern out there. >> ben, thank you very much. we're pressing to think about things like this at 5:00, 4:00 in the morning. ben, thank you. ben lichtenstein, traders audio.com. ralph silva, from hfs research, thank you very much. >> merry christmas. >> merry christmas, louisa. >> that's it for today's show. thank you. have a fantastic christmas. go good-bye. >> good-bye.